IDFC First Bank shares jumped over 4 per cent on 4 September after US-based boutique investment firm GQG Partners bought around 2.6 per cent equity stake in the private sector lender in a block deal.
Rajiv Jain’s GQG Partners acquired the major stake in the bank through two funds. GQG Partners Emerging Markets Equity Fund has purchased 6.38 crore equity shares and Goldman Sach Trust II-Goldman Sachs GQG Partners International Opportunities Fund bought 10.77 crore shares, according to bulk deal data available on the BSE.
The shares were bought at an average price of Rs 89 per share, taking the total transaction amount to Rs 1,527.26 crore.
Foreign investor Cloverdell Investment sold more than 27.86 crore shares on the BSE in a block deal. The stake sale was worth Rs 2,480.34 crore at Rs 89 per share.
Cloverdell owned a 7.12 per cent stake in IDFC First Bank as of June 2023.
IDFC First Bank has surged nearly 70 per cent in the last six months. The benchmark Nifty Bank index has gained over 7.45 per cent in six months.
At 12:15 PM, the stock was trading 3.59 per cent higher at Rs 96.75 on the NSE.
In December 2018, IDFC First Bank was founded after the merger of erstwhile IDFC Bank and erstwhile Capital First. The private lender has a asset base of more than Rs 1,10,400 crore, with 37 per cent in the retail segment. It has a customer base of 7.3 million.
Brokerage firm Motilal Oswal has assigned a ‘buy’ rating to the IDFC First Bank stock with a target price of Rs 100, citing a potential jump of around 19 per cent from the current market price.
